New stock news | Authentic Holdings submits application to Hong Kong Stock Exchange to be listed in 2024 with the retail value of health supplements and products related to deer in Hong Kong ranking first.

According to the disclosure by the Hong Kong Stock Exchange on July 29th, Pure Group Limited has submitted an application for listing on the main board of the Hong Kong Stock Exchange, with Womb Capital Limited as its exclusive sponsor. The prospectus shows that Pure Group is mainly engaged in the development, sales, marketing, and distribution of health and beauty supplements and products in Hong Kong. The group outsources the production of products to suppliers (including manufacturers) and mainly distributes the group's products through Watsons retail stores in Hong Kong under the group's own brand and third-party brands. According to Frost & Sullivan data, based on the retail value of health and beauty supplements and products in 2024, the group ranks seventh among all local health and beauty supplement and product suppliers in Hong Kong, with a market share of approximately 1.6%. In the local health and beauty supplement and product market, the group has a diverse product portfolio covering the needs of men, women, and children of all ages, and focuses on niche markets such as deer-related health supplements, joint and pain treatments, and topical pain relief products. According to Frost & Sullivan data, (i) the group ranked first in the retail value of deer-related health supplements and products in Hong Kong in 2024, with a market share of approximately 29.4%; and (ii) the group's own brand "Yintong Xiao" joint and pain relief products were among the top five best-selling joint and pain supplements and products at Watsons retail stores in 2024. As of the latest practicable date, the group operates a total of six own brands, namely: (a) "Pure"; (b) "Yintong Xiao"; (c) "Organicpharm"; (d) "Riyao Tang"; (e) "Viregy"; and (f) "Profix"; as well as a total of six third-party brands, including (among others) (a) "iPro+"; and (b) "Boiron". Pure Group's products are mainly divided into two categories: (i) health supplements and products; and (ii) beauty supplements and products. In the historical record period, sales of health and beauty supplements and products accounted for approximately 98.8%, 98.8%, and 98.2% of the group's total revenue, respectively. According to Frost & Sullivan data, the competition in the health and beauty supplement and product market operated by the group is intense and fragmented. In 2024, the competition in the Hong Kong health and beauty supplement and product market was relatively fierce, with the top ten health and beauty supplement and product suppliers accounting for a combined market share of 55.3% based on retail value. In terms of finances, in the financial years 2023, 2024, and 2025, the group achieved revenues of approximately HK$43 million, HK$110 million, and HK$130 million, respectively. During the same period, net profits and comprehensive income totaled approximately HK$11.31 million, HK$35.48 million, and HK$36.257 million. According to the risk factors section in the prospectus of Pure Group, the group faces risks of dependence on reselling products to end customers through dairy companies, and failing to maintain or expand the group's wholesale network with dairy companies could have a significant adverse impact on its business.